Bitcoin has been named the top performing currency of 2016. The rapid expansion of Bitcoin community over the past couple of years has led to an increased demand for the digital currency, which is being reflected in its price. The appreciation of Bitcoin’s value this year alone has made it one of the most favorable financial assets for investment purposes. Bitcoin IRA, the only “real” bitcoin retirement fund has opened up new avenues for those planning to secure their future.

Following its launch five months ago, Bitcoin IRA has received a great response which has attracted over $2 million in investments into new accounts. The overwhelming interest in Bitcoin-based investment vehicles including Bitcoin ETFs and Bitcoin IRA is driven by the fact that the value of most popular cryptocurrency is going to increase further in coming years. This level of optimism is not without any reason as the supply of Bitcoin is limited, but not its applications.

However, Bitcoin IRA stands apart from Bitcoin ETFs in various ways. The first one being the asset itself. While those investing in Bitcoin IRA will be owning their investment’s equivalent in bitcoin, others will be left with investment vehicles that are pegged to Bitcoin’s market value. Also, like any other exchange-traded assets, Bitcoin ETFs come with a range of hidden fees which will turn out to be costlier than Bitcoin IRA investments over time.

In order to offer better clarity about the costs involved, while ensuring the benefit of its customers,Bitcoin IRA has introduced innovative pricing plans. These pricing plans, when compared to the fees associated with ETFs are much lower. Bitcoin IRA has a one-time fee of about 15 percent and it doesn’t charge a penny more, irrespective of the cryptocurrency’s performance. Bitcoin ETFs on the other hand, trade at a 20%-30% premium over the actual market indices of the actual cryptocurrency and investors are charged a range of fees. The ETF fees include purchase fee, annual management fees, and selling fees.

A comparison of Bitcoin IRA and Bitcoin ETF investment for a period of 3 years at 10% annual appreciation of cryptocurrency’s value shows that the customer ends up paying over 17.5% of the investment’s value on ETFs.

For example, 11 BTCs or equivalent investment in ETF at $750 per bitcoin will carry a 3.5% purchase fee ($289 for 11 BTCs) followed by a similar annual percentage in management fees and liquidation fees. During the three consecutive years, if the BTC price increases to $850, $950 and $1050 then the management fees per year will be $327, $366 and $404 respectively. After the end of investment term, when the price of Bitcoin is at $1150 the investor will have to pay $443 to convert the ETF to fiat. Totally, the investor will end up paying $1829 (17.5%) as against Bitcoin IRA’s $1238 upfront initial fee at flat 15% of the investment value (11 BTCs at $750/BTC).

Bitcoin IRA insists that the 15% initial fee goes towards the extensive security costs involved in managing the actual bitcoins bought and owned by the investors as a part of his investment in Bitcoin IRA. In the end, the investor can choose to just hold on to the bitcoin instead of selling it and gain much better returns as the cryptocurrency further appreciates.

Given the two options, investors get to benefit more from Bitcoin IRA than any other crypto-ETF option currently available in the market.

Related News

American multinational fund management corporation and the world’s largest money manager Blackrock has announced that a record breaking amount of US$347 billion worth of exchange-traded funds (ETFs) have been traded in 2015. ETFs currently managed by BlackRock, which total nearly US$130 billion, recorded all-time best performances, surpassing the growth of its iShares ETF businesses in 2014. The New York-based organization with over US$1 trillion in management reached a new high record, selling around US$97 billion worth of ETFs, recording a 15.46% increase since 2014. Mimicking the....

Digital currency investment company BitAge Corporation has guaranteed up to 340% returns from its Bitcoin investment fund. The Panama company, which has already attracted investments worth over $1 million from around the globe, offers a number of investment plans — each catering for investors of varying financial calibre. For instance: its lowermost plan requires investors to invest a deposit between $10 and $299 (0.03-0.8979 BTC), which promises to yield up to 121% total return; whilst its topmost plans — as stated above — promises up to 340% returns out of the....

First Global Credit is the world’s first Finance Company offering profit opportunities in mainstream markets for digital currency holders. The Company aims to become a market leader in the Bitcoin Capital Market by providing services that accept bitcoin as a valuable asset which can generate high returns. First Global Credit, is the first company to make it possible to use bitcoins as margin to trade stocks. Now First Global Credit is also adding Commodity Futures to the growing list of assets that can be traded on the website.
The company has been founded by risk management....

These tax-efficient investment vehicles are an efficient way to make investors feel “smart”. To be more precise, these investment vehicles often cut out the middle man, or in this case, the financial professional.
Over the past year or so, there has been an increased focus on Bitcoin ETFs. The primary purpose of these trading instruments is to make cryptocurrency more accessible for traders. So far, these offerings have seen some moderate success. But are ETFs the next wave of disruption to hit financial markets around the globe?
To put things into perspective, the....

A man from Tennessee has been indicted for attempting to extort $1 million in bitcoin by claiming that he had undeclared tax records of the former presidential candidate, Mitt Romney. Michael Mancil Brown (34) contacted the accounting firm used by Romney, PricewaterhouseCoopers, claiming that he had stolen computer documents containing up to twenty years' worth of tax returns that Romney had refused to put into the public domain for the sake of his election campaign. Mr. Romney's tax returns had been a source of controversy throughout the campaign. Candidates are not required to divulge....

Quotes

Just tried to buy breakfast w bitcoins. Refused. #whenwilltheworld catchuptomyhipness? (taken from his official twitter page)